Brand new or Leased

[Jinkygenius7]

Thanks guzzle, with nothing to pay up front it's attracted to me that deal. I'll make up my mind tonight and take it from there. I called alot of leasing companies today for quotes and I think out of 5, 2 got back to me and even then it was with colours I don't fancy.

[wigit]

Before derv gate i would have bought, now reputation and residuals have taken a knock i'd rent as in reality stock GTI and R specs are adequate the mundanity of day to day and i never modify daily (or cars I don't actually own)

Clubsport would have been worth buying though in white or red 

[davyk31]

I'm going leased for the first time. Really can't see how buying makes sense now as discounts and cheap lease deals are hitting residuals. For the deposit I am putting into my lease GTi I would double the monthly payment if going PCP.

[faisal_uk]

I'm going leased for the first time. Really can't see how buying makes sense now as discounts and cheap lease deals are hitting residuals. For the deposit I am putting into my lease GTi I would double the monthly payment if going PCP.

This is also exactly what I was thinking.
Lease (on a special offer) is definitely the better offer as you have interest, depreciation, road tax, breakdown, car payment and obviously warranty all bundled in to one payment which will not change over the 2-3 years.
The prices will nose dive in 2 years when these cheap lease deals hit the used market. Same happened to the MK7 R.
They are trying to push 2 year old base spec models for £20K which isn't all that great.

Also don't forget the MK8 should be arriving in a couple of years which may also affect deprecation.

[davyk31]

I bought my GTD back in 2014 on a 4 year PCP. Put in a large £5k deposit and won't see a penny of that back. The GTi will be less than £2k deposit
and a similar payment. Yes it's a shorter term but means I get a new car more often!

[kalimon]

Dress it up how you like but car companies are not in the business of losing money, and they push lease and finance options at you until they are blue in the face.
It's cheaper to buy outright if you can afford to and due to the appalling interest rates at the moment, it's not worth keeping money in the bank.
I'm sure there will be any number of people coming on and telling me how they have had VW's pants down with the amazing deal they managed to get but I for one am not having it

[wigit]

Dress it up how you like but car companies are not in the business of losing money, and they push lease and finance options at you until they are blue in the face.
It's cheaper to buy outright if you can afford to and due to the appalling interest rates at the moment, it's not worth keeping money in the bank.
I'm sure there will be any number of people coming on and telling me how they have had VW's pants down with the amazing deal they managed to get but I for one am not having it

We will maybe agree to disagree but based on the fact my R depreciated over tow years nearly double what my R estate is costing me over the same period, I cut my losses on it as they were still dropping like a stone, that was a car owned out right. My M2 is fairing far better on the other hand given supply and demand and why I have a deposit down for a M2 CS

My wife's R which she bought out right (despite me saying rent) has also dropped more but she will keep it 4-5 years now

Admittedly both had options on which if leasing clouds things but it amazing when you don't have them you don't actually miss them

[Guzzle]

I can see the benefits of both leasing and outright purchase. I've also done both so my comments are entirely impartial. However as to which is better really depends on two main points;-

1) How long you intend to keep hold of the car.

2) Driving a hard bargain in the first place. A poor deal is poor no matter whether it is by cash or with credit.

My current Octy is leased and I reckon i'm currently around £1k better off than if I had paid cash via DTD. However as time passes I expect that saving will narrow until the point that cash purchase becomes the cheaper option.

The best advantage of leasing is the fixed monthly costs and avoiding maintenance and upkeep, which become more difficult as a vehicle ages. On the plus side, if you have paid cash the depreciation will eventually become incidental and provided your vehicle remains reliable you should then have cheap motoring.

[davyk31]

Dress it up how you like but car companies are not in the business of losing money, and they push lease and finance options at you until they are blue in the face.
It's cheaper to buy outright if you can afford to and due to the appalling interest rates at the moment, it's not worth keeping money in the bank.
I'm sure there will be any number of people coming on and telling me how they have had VW's pants down with the amazing deal they managed to get but I for one am not having it

Well my experience would say different. My GTD is worth considerably less than the final payment so I can now just return the car. If I owned the car it would be worth what it's worth therefore would have cost me more. Yes I paid interest on the PCP loan but of course using cash also has a lost interest cost so it's not free money. I also bought my GTD with a very decent discount matching the best available at that time. For sure the lease companies do aim to make money but in the case of a high volume heavily discounted car that also appears often in the cheap lease deals I think buying with cash is a risky place to be. 

[davyk31]

I can see the benefits of both leasing and outright purchase. I've also done both so my comments are entirely impartial. However as to which is better really depends on two main points;-

1) How long you intend to keep hold of the car.

2) Driving a hard bargain in the first place. A poor deal is poor no matter whether it is by cash or with credit.

My current Octy is leased and I reckon i'm currently around £1k better off than if I had paid cash via DTD. However as time passes I expect that saving will narrow until the point that cash purchase becomes the cheaper option.

The best advantage of leasing is the fixed monthly costs and avoiding maintenance and upkeep, which become more difficult as a vehicle ages. On the plus side, if you have paid cash the depreciation will eventually become incidental and provided your vehicle remains reliable you should then have cheap motoring.

Yes if you own the car the depreciation does tail off after a good few years but then you are at that stage driving an old car which will undoubtedly be an old model and perhaps needing expensive repairs as the miles march on. You really can't compare that to someone driving a new model every two years and never having a car out of warranty or needing anything other than one service. Yes that may cost money but that's the choice. When comparing leasing with buying you need to assume someone replaces the car every 2 or 3 years with a brand new model either by cash or lease. On that model of driving it seems leasing is the clear winner by any financial measure I have looked at. One caveat is that this is likely to change as 2 year old cars struggle to find buyers if everyone wants to lease new ones. This will depress the used values further, very bad news if you own your car and bad news if you are leasing as lease costs may go up if the financiers are not getting the same residuals from used cars.

For now it seems lease all the way for me and this has been confirmed by several VW salesmen sme of whom said it wasn't even worth their while trying to work out a PCP deal as leasing on a special deal with be much cheaper.